Summary: Credence Resource Management does not always play fair when trying to collect a debt. Find out how to exercise your rights and get this company out of your life and off your credit report
A call from Credence Resource Management can lead to stress and uncertainty. The call is just the start. You’ll hear from them again, and your credit score is likely to take a dive.
Collection agencies like Credence Resource Management LLC are well known for harassing customers with calls. The aggressive tactics Credence Resources Management uses to collect your debt do not help the situation at all.
When dealing with a collections company, it’s important to understand your rights and know how to combat intimidation tactics.
If you’re looking for a way to stop the calls and remove Credence Resource Management from your life and your credit report, keep reading.
What Is Credence Resource Management?
This may be your first question when a supposed debt collector starts calling you out of the blue. It may or may not put your mind at ease to know that Credence Resource Management is a legitimate company.
They’ve been in business since 2013 and have an accredited B rating with the Better Business Bureau. Credence Resource Management is based in Dallas, Texas, and specializes in collecting debts for healthcare, telecommunication, insurance, utility service, and retail accounts.
They have a working telephone number and multiple forms of contact listed on their website.
In the past 3 years, they’ve received over 400 complaints on their BBB listing, which should definitely raise some red flags.
Credence Resource Management Scams
While I did just explain how Credence Resource Management is a legitimate company, this still doesn’t mean consumers are safe from a Credence Resource Management scam.
It’s not uncommon for debt collection scammers to come out of the woodwork and claim they represent a well-known company.
It’s important to make sure you’re talking to an actual representative from Credence Resource Management if you are trying to get more information about the debt they say you owe.
I added their contact information below for reference.
17000 Dallas Parkway #204
Dallas, TX 75248
- Customer care – (855) 880-4791
- Disputes and Complaints – (855) 880-4792
There have also been situations where Credit Resource Management called a consumer to collect a debt that wasn’t theirs. There have been claims that Credit Resource Management doesn’t do their due diligence when initially validating a person’s debt.
Instead, they continue making calls and pressuring consumers to pay when the debt may not even be valid.
If you have a common name, you may get calls from collection companies from time to time about a debt that you are positive you don’t owe.
If you’re pretty sure you don’t owe the debt this company is calling you about, be sure to call the original creditor to check and confirm.
Here’s What You Can Do
If you’re hearing from Credence Resource Management – or any collection agency – there are things that you can (and should) do. There are also two things that you should not do:
- Don’t Panic. It won’t help.
- Don’t ignore the situation. That won’t help either. They won’t go away.
That’s what you shouldn’t do, but what should you do?
Here’s where to start.
1. Know Your Rights
The rights of debtors and the obligations of debt collectors are spelled out in the Fair Debt Collection Practices Act (FDCPA). Here are some key points.
- A debt collector cannot call you before 8AM or after 9PM.
- A debt collector cannot call your place of employment.
- If you have a lawyer, the collector must communicate with your lawyer.
- A debt collector may not communicate with your friends or family members or tell them about your debts.
- Debt collectors cannot threaten to harm you, your reputation, or your property, or use profane language.
- Debt collectors must identify themselves and the company they represent. They cannot claim to be law enforcement or other officials.
- A debt collector cannot threaten you with imprisonment or seizure of assets.
For a full review of your rights under the FDCPA see this summary from the Consumer Financial Protection Bureau (CFPB).
2. Validate and Verify the Debt
A debt collector must supply the following information to you within five days of the first time they contact you.
- The amount you owe.
- The name of the creditor.
- A notice that you have 30 days to dispute the debt.
This is called debt validation and the information is usually contained in a debt validation letter.
If you do not dispute the debt within 30 days, it is presumed valid. Always dispute debts. To dispute the account you will send a debt verification letter. Send the debt collector a certified letter asking for the following.
- How much you owe.
- The name and address of the original creditor.
- Proof that you owe the debt.
- The date of the original debt.
- Proof that the collector has legal standing to pursue collection efforts in your state.
Send the letter by certified mail with the return receipt requested.
Remember the difference between a debt validation letter, which the collection agency sends to you, and a debt verification letter, which you send to them.
Once you receive the debt validation letter you have 30 days to send your debt verification letter.
Remember that even if you know the debt is yours, the more important issue is whether they know it’s yours.
Because guess what?
If they can’t prove it’s yours, they can’t report it to the credit bureaus.
They might not be able to come up with that proof. Remember, Credence Resource Management probably purchased your debt, in bulk with a bunch of other debt, from the original creditor.
Who knows what was lost in the shuffle?
The onus is on them to provide proof. If they can’t, they’re required by law to remove it from your credit report.
Remember the Statute of Limitations
Always check the date of the debt against the statute of limitations in your state. If the statute of limitations has expired, the collector cannot pursue legal action against you.
The statute of limitations clock begins on the date when the debt was first reported as delinquent.
Remember that making a payment or acknowledging that the debt is yours can restart the statute of limitations.
The expiry of the statute of limitations will not remove an account from your credit record. If the statute of limitations has expired or will expire soon there’s a good chance that the seven-year period of appearance on your credit record is also nearly up.
If the statute of limitations is nearly up your best bet might be to just wait it out.
3. Stop the Calls NOW
You could get as many as 15 calls per day, according to a Consumer Credit Card Market Report.
That’s way too many.
But you can’t just call them and ask them to stop.
Follow these simple steps to stop the calls.
- Write a “stop contact” or “cease” letter telling them to stop contacting you.
- Make a copy for yourself and mail the original to Credence Resource Management.
- To prove you sent the letter, send it by certified mail with “return receipt requested.”
Make sure you follow these exact steps.
If you do, the National Consumer Law Center states, “the collector can only acknowledge the letter and notify you about legal steps the collector may take.”
When you stop the phone calls, you get some breathing room. Remember that you still owe the debt, and the collector can take legal action.
Then you can tackle the next step.
4. Contest the Debt With the Credit Bureaus
If you believe that you do not owe the debt or that the collection agency has failed to validate the debt, you can file a dispute with the credit bureaus. You will need to dispute the account separately with each credit bureau.
Credit Reporting Bureau Mailing Addresses
|P.O. Box 740256 Atlanta, GA 30374-0256||P.O. Box 9701 Allen, TX 75013||P.O. Box 2000 Chester, PA 19016-2000|
You can also dispute it online:
The credit bureau must investigate and verify your debt. If they cannot, they must remove it from your credit record.
Remember that even if the debt is removed from your credit record, the collection agency can still pursue collection efforts.
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5. Settle With A Pay For Delete Agreement
While occasionally the collection debt isn’t yours, most of the time, it is. If that’s the case, a settlement is one way to resolve the situation.
Remember that debt collectors pay, on average, 4 cents for every dollar of debt that they buy. That gives you room to negotiate. A collector can accept less than you owe and still make a profit.
An article from U.S. News & World Report found that collection agencies will settle for between 40-60% of the balance – which could mean thousands of dollars saved.
You might offer 10% of your balance to see what they say.
They’ll probably ask for more, but don’t let them push you around. With a little negotiation, you can reach an agreement you’re comfortable with.
Pay for Delete
A collection agency may agree to remove your account from your credit record if you settle your debt. This is called a “pay for delete” arrangement.
When you discuss a settlement, ask the collection agency representative if they will delete your record if you pay. Send a formal “pay for delete letter” to confirm the arrangement and ask for a written commitment.
Remember that you cannot compel a credit bureau to remove a legitimate account from your record. It will be recorded as paid, but it may remain on your credit report for seven years from the date when the account first became delinquent.
A pay-for-delete arrangement is a gamble. It may not work, but it’s worth trying. If the settlement is accepted you will no longer have to deal with the collection agency, and that’s a big plus.
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What If They Sue?
Collection agencies will take you to court, sometimes over quite small amounts. If the debt collector sues you, don’t ignore the case.
If you don’t respond, the judge will probably issue a summary judgment against you. You will be ordered to repay the debt. If you don’t, your wages could be garnished. In some states, your assets could be seized.
Not all companies will exercise their right to file a lawsuit against you, but a lawsuit is always a possibility when dealing with an aggressive debt collector.
Important! Read up on what to do if a debt collector sues you to make sure you take all the right steps.
Get Rid Of Credence Resource Management
You’ll need to be proactive in clearing the debt and getting the collection account removed from your credit report. The collection agency will not go away and they will not offer you a good deal. If you want to resolve the situation, take the initiative and use the steps above!